The retailer has 48 stores in the Texas market and 230 stores in the California, Arizona, and Nevada markets, which contribute approximately 90% of the company's sales. Despite years of positive same-store sales, the company's Texas stores were only generating slightly more than half of the average sales of its non-Texas stores. Additionally, the company has said that its Texas operation remains unprofitable. As a result, the company's management team and its board of directors made the decision that it is in the best interests of the company to exit this very challenging market and focus its resources where they can better contribute to making the company stronger and more profitable. To this end, the company plans to wind down its Texas operations in an orderly and prompt fashion. Eric Schiffer, CEO of 99 Cents Only Stores, said: "After more than five years of hard work by many talented associates, we have made the painful decision to cease operation of our Texas stores. Although progress was continually made over the years, we were still losing money in Texas and we determined that it was not likely we would achieve profitability in the near future or attain an acceptable level of return on investment in the long term."